Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Excuse Me, But How Much is that in Real Money?
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Jln. By Pass Ida Bagus Mantra,
Jln. Pucuk 1 No. 70X
Denpasar, Bali
Indonesia

24h:
+62 (0)812 3819724
Tel:
+62 (0)361 464 032, +62 (0)361 471 0242

Bali Discovery

SITE PATA ASITA
Bali News

Excuse Me, But How Much is that in Real Money?

Bali by the Numbers: Balidiscovery.com Analyzes the Real Costs of a Bali Holiday.


Bali News:
Click Image to Enlarge

(10/18/2008)

Bali Hotels traditionally review their budgets and current occupancy levels before determining how much to increase their rates for the coming year. However, recent global economic events suggest that hoteliers may also need to consider movements in source country exchanges rates against the U.S. Dollar in order to truly understand the impact of price increases and follow-on effect on the market mix of the customers who patronize their properties.

The Role of the U.S. Dollar

Due to specific peculiarities of the Indonesian banking system almost all hotels in Indonesia price and contract their rooms in U.S. dollars. As a result, the ability of tourists from key source markets to afford a Bali holiday is directly linked to both the price of accommodation but also the value of that tourist's home currency against the U.S. dollar.

To illustrate this point, balidiscovery.com presents a table showing the "actual" cost increase in a US$100 hotel room in Bali from October 2007 to October 2008, factoring in both an assumed 25% increase in room tariff and shifts in home currency exchange rates against the U.S. dollar.

Here's what we discovered:

Australia - The Australian dollar has devalued 28.73% over the past year from October 2007 to October 2008. In fact, if measured against July 15th when the value of the Australian dollar peaked (0.98 AUS$ to US$1.00) the devaluation equals 41.17%.

In practical terms, this means that an Australian who paid AU$111.89 for a US$100 room in October 2007 is now paying 60.91% more or AU$180.05 for that same room. If compared to July 2008 to October 2008 Ė a span of only 3 months, that Australian traveler will have experienced a 76.46% increase in accommodation costs.

Japan - The assumed 25% increase in hotel rates by Bali hotels has been softened by a 12.94% appreciation in the Yen over the past 12 months. Thus, Japanese tourists will only pay 8.83% more for their hotel room in October 2008.

Taiwan - The Taiwanese dollar has remained stabile against the US$, meaning assumed rates have increased 25%.

South Korea - Over the course of the past twelve months the Won has devalued 31.20% making the assumed 25% hike in the U.S. dollar charge for a room result in an actual increase in cost of 64.01% for those poying in Won.

Euro - The Euro, too, has devalued against the US dollar, but only by 5.59%. Thus, a 25% hike in room rates means that European visitors are now paying 31.98% more for their room.

Indonesia - Because the Indonesia domestic visitor is also invariably paying a rate somehow linked to the U.S. dollar, it's worth to noting that the Rupiah has devalued 8.88% over the past year, meaning a 25% increase in room rate will translate into a 36.10% cost increase for Rupiah earners.

On the plus side, however, foreign visitors using dollar-tied currencies will theoretically get an 8.8 % bonus on the Rupiahs they purchase from banks and money changers to purchase local goods, meals and refreshments.







Bali by the Numbers

click image to enlarge


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Have You Seen This Man?
Police in Bali Searching for American Who has Escaped Baliís Kerobokan Prison
(12/10/2017)
Dear Mr. President
PHRI-Bali Writes to President Joko Widodo Seeking Urgent Assistance to Bali Tourism
(12/10/2017)
Christmas at the Bali Safari & Marine Park
Special Offer from Bali Safari and Marine Park Through January 3, 2017 for the Domestic Market
(12/11/2017)
Your Better Not Shout! You Better Not Cry!
Bali Collection Holds Santa Fun Run at Nusa Dua Sunday, December 17, 2017
(12/10/2017)
Mate, What Volcano?
Garuda Indonesia Says Demand for Bali as a Holiday Destination ex Australia Remains Strong Despite Mt. Agungís Recent Volcanic Activity
(12/10/2017)
Keep Calm. Itís Only a Volcano
Editorial: Bali and the World Needs a New Way of Thinking About Volcanoes
(12/12/2017)
Painted Men and Boys
Young Men from Tegallalang, Bali Paint their Bodies to Ward Off Both Personal and Public Demons in Ngerebeg Procession
(12/10/2017)
Fake News on a Local Level
PHRI Karangasem Chairman Claims of Closed Hotels Strongly Refuted and Rejected by Alila and Amankila Hotels
(12/10/2017)
Counting the Damages
Officials Calculate the Cost of Tourism Losses from 2.5-day Closure of Baliís Airport
(12/10/2017)
No More Traffic Jams in Ubud
A Very Quiet Ubud Awaits the Return of Tourists
(12/10/2017)
Let there Be Light!
ITDC Hosts Nusa Dua Light Festival December 5-24, 2017
(12/10/2017)
The Road Less Traveled
Bali Toll Road Traffic Volume Down 25% Due to Lower Visitor Totals
(12/10/2017)
All [News]!